Salient Features of the Act

The 73rd Amendment Act of 1992 was an important activity since it granted official constitutional recognition of the existence of local self-governing bodies. These local institutions had existed before the recognition from the government but in a more scattered and rudimentary form. Various parliamentary committees were appointed throughout the 60s, 70s, and 80s to figure out the best ways and methods in which these local institutions could be incorporated into the administrative structure. Through the effort on findings of these committees, the Amendment Act of 1992 came about. The salient features include Gram Sabha, State Election Commission, and Finance Commission.

Salient Features of the Act

The Nyaya Panchayat was the judicial institution operating at the village level in all states of India. The Act of 1992 also made it mandatory that every state must have a Panchayati system. The Gram Sabha was empowered greatly under this Act which recognised it as an essential administrative unit in the entire local governing institutions. The Panchayati System was heralded as the Panchayati Raj Institutions or PRIs. The Gram Sabha was made to be the only permanent unit in the entire system. It also established a review system that would convene every 5 years to check the operations of the system. There are two parts to the act, Part IX and its 16 articles along with the Eleventh Schedule. There are two kinds of provisions that also make up the salient features of the Act which are:

• Voluntary Provisions – Those which can be modified by the States.
• Compulsory provisions – Every state must have the three-tiered Panchayati Raj system. 

Gram Sabha

The Gram Sabha is constitutionally provided to act as the legislative unit in the PRIs. The Gram Sabha is the fundamental unit. It is the only permanent unit. The powers of Gram Sabha are a salient feature of the Act. The Gram Sabha is composed of individuals who are elected and have been registered on the electoral roll. The Mukhiya is the elected head of the Gram Sabha and he along with his members are selected for a term of 5 years after which a new election would be held. Through the empowerment of the Gram Sabha, the entire system of the local governing institutes is strengthened. The Gram Sabha is also able to make legislative decisions in their area regarding things like taxes and methods of tax-paying according to the guidance imparted by the state or the local government. There are three levels in this system. 

State Election Commission

Another salient feature of the Act of 1992 was the provision of the State Election Commission. It was mandated that every general election would also see Panchayat elections taking place in the PRIs through the State Election Commission. The State Election Commission would arrange along with the Gram Sabha the means and ways in which the electoral process is to take place. 

Finance Commission

The Finance Commission was to be divided among the various local self-governing bodies. The Ministry of Panchayati Raj would work closely with the State Finance Commission which would convene every 5 years to review the performance and operations of the Panchayati system. 

Conclusion

The salient feature of the Act of 1992 was to constitutionally recognise the Panchayati Raj system and formulate its three hierarchical structures. The Act also successfully conducted the democratic decentralisation provision and allotted certain autonomy to the decision-making capacities of these local bodies. Along with the Panchayati System, the Nyaya Panchayat was also provided.